Mexico’s AMLO Replaces High-Profile Financial Crimes Chief After Scandal

Mexico’s AMLO Replaces High-Profile Financial Crimes Chief After Scandal

A lavish wedding that clashed with Mexican President Andres Manuel Lopez Obrador’s commitment to austerity cost the job of his high-profile financial intelligence chief. 

Santiago Nieto has been replaced by former senator Pablo Gomez, according to a tweet posted late on Monday on the account of Mexico’s federal government, which stated that the president ordered the change with immediate effect. Nieto said in a subsequent tweet that he was stepping down to avoid tarnishing Lopez Obrador’s government.

Nieto had led the country’s Financial Intelligence Unit since the start of the Lopez Obrador administration three years ago. He had brought complaints against various former politicians and some political opponents of the president. 

Prior money laundering chiefs in Mexico had stayed in the background, but Nieto transformed the role and became one of the most visible officials in the Lopez Obrador government, which has made of fighting corruption its main electoral pledge.

A former electoral judge and prosecutor, Nieto has investigated high-profile cases including alleged bribery in a fertilizer plant sale that has been a key charge in the corruption probe against former Pemex CEO Emilio Lozoya. His office has also worked closely with U.S. authorities to freeze assets related to alleged drug traffickers.

Gomez, an economist and long-time politician from the left movement, has served as a lawmaker for Lopez’ Obrador’s Morena party.

Guatemala Wedding

Nieto married Carla Humphrey, a councilor at Mexico’s independent elections institute, during a wedding in Antigua, Guatemala, over the weekend. The event was attended by other officials and business people, according to local media, including Mexico City’s Tourism secretary, who resigned after reports of having traveled to the event on a private jet. 

Lopez Obrador himself flies coach and has required all his officials avoid perks like private plane travel on top of lowering government salaries.

Earlier on Monday, the president known as AMLO had called the wedding “a scandalous affair.”

“A public servant has to avoid this type of situation,” Lopez Obrador told reporters during his daily press briefing.

©2021 Bloomberg L.P.

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